ADM and Kao in edible oil alliance
Global food processor Archer Daniels Midland Company (ADM) and Kao Corporation of Japan are to form a 50/50 joint venture for the manufacturing, marketing and sales of diacylglycerol (DAG) oil as an ingredient for the food industry. The oil is currently marketed in Japan under the trade name Econa® oil. Developed by Kao, clinical trials of Econa oil have indicated that it aids in the maintenance or loss of weight and fat mass, and helps to maintain healthy triglyceride levels in the bloodstream. Future developments of this new jointventure will be announced by both companies in early 2001. DAG oil was designated as GRAS (generally recognized as safe) by an outside panel of scientific experts and was reviewed by the US Food and Drug Administration (FDA) in December 2000, indicating acceptance of its safety in the United States. The GRAS determination is for use in vegetable oil spreads and home cooking oil.